LCCI lists pitfalls of multiple budgets

The Lagos Chamber of Commerce and Industry (LCCI) has raised concerns over the federal government’s inability to implement the annual budget within the stipulated year. In a statement, the chamber stressed that the inability of the federal government to implement the 2024 Budget, Supplementary Budget, and the budgets for 2025 has implications for fiscal coordination, […]

The Lagos Chamber of Commerce and Industry (LCCI) has raised concerns over the federal government’s inability to implement the annual budget within the stipulated year.

In a statement, the chamber stressed that the inability of the federal government to implement the 2024 Budget, Supplementary Budget, and the budgets for 2025 has implications for fiscal coordination, transparency, and the effective execution of projects.

Daily Trust reports that the federal government has rolled over 2024 and 2025 budgets into 2026 following revenue shortfall which affected the implementation.

“We are also concerned about Nigeria’s historically weak budget implementation capacity, which is likely to be further strained by the combined operation of multiple budget cycles within a single year, including the 2024 Budget, the Supplementary Budget, and the budgets for 2025 and 2026,” the LCCI said.

It expressed pessimism over the possibility of robust debate on the 2026 budget by the National Assembly and passing the Appropriation Act before the end of this year.

“This may mean that the 2026 budget may not start within the established budget circle of January to December,” the statement read.

The chamber identified agriculture and agro-processing, manufacturing, infrastructure, energy, and human capital development as key drivers of growth in 2026.

It highlighted scaling irrigation and agro-value chains, reducing power and logistics costs for manufacturers, accelerating infrastructure delivery through PPPs, sustaining oil and gas sector reforms as the factors to unlock the sectors.

“We must also resolve the issues surrounding the Naira for crude, increase the supply of oil to local refineries to boost local refining capacity and conserve the substantial foreign exchange used for fuel imports, and address the need for internationally standardized regulatory oversight over the oil and gas sector.

“Overall, the 2026 Budget presents a credible opportunity for Nigeria to transition from recovery to expansion. Its success will depend less on the size of allocations and more on execution discipline, capital efficiency, and sustained support for productive sectors,” the statement reads.